PGP Glass Private Limited completed the acquisition of an additional 22.2% minority stake in Piramal Glass Ceylon PLC (COSE:GLAS.N0000) for LKR 2.5 billion.
May 03, 2021
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PGP Glass Private Limited made a mandatory offer to acquire remaining 43.5% stake in Piramal Glass Ceylon PLC (COSE:GLAS.N0000) from Employees' Provident Fund of Sri Lanka and others for LKR 4.8 billion on March 30, 2021. Under the transaction, Offeror will acquire remaining 413.7542 million shares of Piramal Glass Ceylon PLC at a price of LKR 11.6 per share. As of April 20, 2021, offer price is revised upward to LKR 11.86 per share. Under the transaction, Employees' Provident Fund of Sri Lanka will sell 9.51% stake in Piramal Glass Ceylon PLC. In a related transaction, Pristine Glass Private Limited completed the acquisition of 56.45% stake in Piramal Glass Ceylon PLC from Piramal Glass Limited for LKR 6.2 billion on March 30, 2021. Consequent to the said purchase of share, Offeror triggered the threshold limits placed by Company Takeovers and Merger Code 1995 (as amended) (Code), publishes under the Rules made by the Securities and Exchange Commission of Sri Lanka under Section 53 of the Securities and Exchange Commission of Sri Lanka Act, No. 36 of 1987 (as amended), and in terms of Rule 31 (1) (a) of the Code is therefore obliged to make a Mandatory Offer to purchase the remaining shares. Offeror has sufficient cash resources are available to satisfy the full acceptance of this Offer. The Offeror currently intends to continue the operations of Piramal Glass Ceylon PLC (PGC) as an ongoing entity. It is currently intended that no emoluments of the Offeror’s directors will be affected by the acquisition. The Offeror does not currently intend to terminate the services of any employees of PGC.
The Offer is Unconditional as to Acceptance. As of April 16, 2021, NDB Investment Bank Limited is of the view that the Offer Price is reasonable to the shareholders of Piramal Glass Ceylon and recommends that shareholders of Piramal Glass Ceylon may accept the Offer. Offer will be open for acceptance from March 31, 2021 to April 21, 2021. As of April 20, 2021, Offer will close on May 4, 2021. P.W. Corporate Secretarial (Pvt) Ltd. acted as registrar to Piramal Glass Ceylon PLC. Asia Securities Advisors (Pvt) Ltd acted as financial advisor to PGP Glass Private Limited. NDB Investment Bank Limited acted as financial advisor to board of directors of Piramal Glass Ceylon PLC.
PGP Glass Private Limited completed the acquisition of an additional 22.2% minority stake in Piramal Glass Ceylon PLC (COSE:GLAS.N0000) for LKR 2.5 billion on May 4, 2021. Under the Offer, Offeror has received a valid acceptance in respect of 210,889,265 ordinary shares of Piramal Glass Ceylon PLC, representing 22.2% stake. PGP Glass Private Limited now holds 747,231,145 ordinary shares representing 78.65% stake in Piramal Glass Ceylon PLC.
PGP Glass Ceylon PLC is a Sri Lanka-based glass manufacturing company. The Companyâs principal activity is the manufacturing and sale of glass bottles. The Company operates through two segments: local sales and export sales. The Company offers molded range of glass bottles for the food and beverages, pharmaceuticals, Liquor and cosmetics and perfume industries. The Company's products include Amber glass bottles for agro, beer, food and pharmaceutical applications; Flint glass bottles for aerated water, food, liquor, perfumery, pharmaceuticals and wine applications, and color bottles used for aerated water, food, liquor and wine. It also manufactures customized bottles. The Company operates 11 manufacturing facilities in India, Sri Lanka, and United States of America. The Company distributes its products in the European, Asian, North and South American continents.
PGP Glass Private Limited completed the acquisition of an additional 22.2% minority stake in Piramal Glass Ceylon PLC (COSE: GLAS.N0000) for LKR 2.5 billion.